To demonstrate how valuable a high-tech mining services...

To demonstrate how valuable a high-tech mining services operation is, and hence Primero is, read what Lycopodium (LYL) announced today about an $40 million EPCM contract. In part the announcement reads, “Having undertaken the Scoping Study (SS), Pre-Feasibility Study (PFS) and Definitive Feasibility Study (DFS) for the project, Lycopodium was subsequently awarded the Early Works services in April 2022.” These are all small contracts, but it put LYL in the box-seat to provide the EPCM services worth approximately A$40 million.

As I mentioned in earlier posts, LYL typically makes a NPAT in excess of 10% of revenue. NWH has tended to make less than 5%, with the expectation that it would make a fraction above 5% in FY23.